MANITOBA TOURISM STRATEGY
CURRENT PAGE: JOURNEY TO CHURCHILL Credit: Assiniboine Park Conservancy COVER PHOTO: OTTER FALLS Credit: Liz Tran
TABLE OF CONTENTS 4
INTRODUCTION
12
STATE OF THE INDUSTRY
26
INDUSTRY TRENDS
32
VISION
33
TARGETS
34
GOALS AND INITIATIVES
48
NEXT STEPS AND PERFORMANCE MEASUREMENT
Manitoba Tourism Strategy • 1
2 • Manitoba Tourism Strategy
CHURCHILL
ACKNOWLEDGEMENT: A visit to Manitoba means travelling through Treaty 1, 2, 3, 4 and 5 Territories and through communities who are signatories to Treaties 6 and 10. Manitoba is located on the ancestral land of the Anishinaabeg, Anishininewuk, Dakota Oyate, Denesuline and Nehethowuk Nations and is the Homeland of the Red River Métis. Northern Manitoba includes lands that were and are the ancestral lands of the Inuit. Travel Manitoba respects the spirit and intent of Treaties and Treaty Making and remains committed to working in partnership with First Nations, Inuit and Métis people in the spirit of truth, reconciliation and collaboration.
Manitoba Tourism Strategy • 3
FESTIVAL DU VOYAGEUR Credit: Liz Tran
INTRODUCTION “The tourism industry is vital to the success and growth of Manitoba’s economy. Tourism contributes to annual tax revenues, drives job creation, innovation, infrastructure improvements and enhances the quality of life for residents. The revised Manitoba Tourism Strategy will ensure that Manitoba’s tourism sector emerges from the COVID-19 pandemic stronger than ever.” Honourable Obby Khan Minister of Sport, Culture and Heritage
4 • Manitoba Tourism Strategy
Manitoba Tourism Strategy • 5
RIDING MOUNTAIN NATIONAL PARK
6 • Manitoba Tourism Strategy
THE MANITOBA TOURISM STRATEGY In 2019, Travel Manitoba, the Manitoba Chambers of Commerce and the Government of Manitoba came together in the spirit of collaboration to create a new vision for tourism in the province, recognizing that a whole-of-government approach and private sector input would be required to increase tourism’s contribution to the provincial economy. Through consultations with industry stakeholders and core customers, and informed by tourism industry trends, they developed the Provincial Tourism Strategy for Manitoba. Then, in early 2020, the worldwide outbreak of COVID-19 brought the global tourism industry to a standstill. COVID-19 had significant impacts on Manitoba’s tourism economy. As governments and industries around the world responded to the pandemic, an updated Manitoba Tourism Strategy was released in 2021 to recognize the far-reaching impacts of the pandemic and the need for immediate and bold action to reenergize the industry. Even as the COVID-19 crisis continued to create a world of uncertainty, goals focused on rebuilding for the longer term, with the resumption of travel remaining a key objective. While this vital work progressed, stimulating local demand remained an immediate focus by appealing to Manitobans to explore their own backyard to build confidence in the visitor economy.
Manitoba Tourism Strategy • 7
THE ROADMAP TO RECOVERY The Manitoba Tourism Strategy became the roadmap to recovery. Delivering on the strategy was key to re-building a solid base for short-term recovery. Early accomplishments in delivering on the strategy included: • Executing the Home is Where the Heart is campaign to encourage Manitobans to explore their home province. Summer Road Trips, Winter Explorer Guide and Northern Lights campaigns all encouraged travel to and within Manitoba with great success. • Launching the new evolved brand, Canada’s Heart is Calling, creating the opportunity to expand beyond the success of the previous brand and highlight additional destination differentiators. • Partnering with the Manitoba Chambers of Commerce to deliver the Tourism Rebate Incentive Program in 2021 and 2022. The program provided $7.8 million in direct sales to hotels and attractions across the province and improved hotel occupancy rates. • Providing over $1 million in project funding to 50 tourism organizations across Manitoba to support the development and enhancement of market- and export-ready tourism products across the province through the Tourism Innovation and Recovery Fund. • Securing $2 million in funding through Prairies Economic Development Canada to support destination management initiatives, including the Winter Tourism Development Fund, which provided $1.2 million to support the development and enhancement of 18 winter tourism products. • Hosting the Arts & Culture Summit on January 9, 2023 to bring together the arts, culture and heritage sectors to seek input on how to promote long-term competitiveness and growth from a tourism perspective. • Updating the sub-strategies under the Manitoba Tourism Strategy umbrella to support the target of returning to 2019 visitor spending levels by 2024: 0 Manitoba Indigenous Tourism Strategy – Travel Manitoba in partnership with Indigenous Tourism Association of Canada and Indigenous Tourism Manitoba launched the updated strategy in September 2021. 0 Manitoba Francophone Tourism Strategy – Travel Manitoba in partnership with the Manitoba government and the Francophone Tourism Strategy Advisory Committee launched the strategy in April 2022. 0 Northern Manitoba Tourism Strategy – Travel Manitoba launched the updated strategy in July 2022 with the guidance of the Northern Tourism Advisory Committee.
8 • Manitoba Tourism Strategy
TOURISM RECOVERY Despite two years of uncertainty, these early accomplishments have helped push the tourism industry toward the recovery stage. Data from Statistics Canada shows that visitor spending returned to prepandemic levels in 2022, largely due to improved domestic travel and inflation. As visitor confidence rebuilds and travel re-opens, focus now needs to shift from short-term response to rebuilding for long-term growth. To compete in a post-pandemic world Manitoba’s tourism industry must grow to include more experiences that meet the increased expectations of visitors. The resiliency of the tourism industry was put to the test over the past three years, and as we face new challenges that resiliency will pay dividends. Looking ahead, the tourism industry will need to: • Attract, train and retain new labour. • Develop more points of differentiation to stand out in a new, more competitive market. • Adapt to changing consumer expectations and higher costs. • Weather a slower recovery for meetings, conventions and the demand for business travel. The Manitoba Tourism Strategy continues to be the roadmap for the tourism industry to navigate these new challenges.
CANADIAN MUSEUM FOR HUMAN RIGHTS Credit: Aaron Cohen
Manitoba Tourism Strategy • 9
UPDATING THE STRATEGY The Manitoba Tourism Strategy is championed by a steering committee comprised of stakeholders accountable for key initiatives in the strategy and those who can help accelerate achievement of goals and initiatives. The committee’s role is to support the efforts of the strategy partners: Travel Manitoba, Manitoba Chambers of Commerce and the Manitoba government. The committee meets annually to evaluate and recommend updates or changes as needed to further progress in support of the strategy’s targets.
STEERING COMMITTEE MEMBERS* Stuart Murray, Co-Chair, Travel Manitoba Chuck Davidson, Co-Chair, Manitoba Chambers of Commerce Ray Karasevich, Assiniboine Park Conservancy Evan Andrew, Sport Manitoba Nick Hays, Winnipeg Airports Authority Paul Conchatre, Birdtail Waterfowl Inc. Adam Pauls, Churchill Wild Ginette Lavack, Centre culturel franco-manitoban Dayna Spiring, Economic Development Winnipeg Tara Elder-Young, Calm Air Drew Fisher, RBC Convention Centre Stephen Borys, Winnipeg Art Gallery Holly Courchene, Indigenous Tourism Manitoba Erin Russell, Manitoba Transportation and Infrastructure Michelle Wallace, Manitoba Economic Development, Investment and Trade Rob Nedotiafko, Manitoba Natural Resources & Northern Development Julia Tetrault, Manitoba Sport, Culture and Heritage Colin Ferguson, Travel Manitoba Angela Cassie, Travel Manitoba Cody Chomiak, Travel Manitoba Jackie Tenuta, Travel Manitoba Linda Whitfield, Travel Manitoba Heidi Thomas, Travel Manitoba * As of June 13, 2023
10 • Manitoba Tourism Strategy
CRANBERRY PORTAGE Credit: CoPilot Collective
Manitoba Tourism Strategy • 11
STATE OF THE INDUSTRY “The revised Manitoba Tourism Strategy reflects the current stage of the industry’s recovery from the COVID-19 pandemic and the progress made since the strategy relaunch in 2021. The revised strategy will maximize Manitoba’s opportunities as a key travel destination, now and in the future.” Stuart Murray Board Chair, Travel Manitoba
12 • Manitoba Tourism Strategy
WEKUSKO FALLS PROVINCIAL PARK Credit: Anthony Urso
Manitoba Tourism Strategy • 13
COVID-19 IMPACTS ON TOURISM In updating the Manitoba Tourism Strategy it is important to evaluate the impact of the COVID-19 pandemic on travel market visitation and expenditures. Tourism was among the first to be impacted and will take the longest to recover, meaning the full ramifications may not be understood for several years. Manitoba’s reliance on the Canadian market, including same-day visitors from the province itself, had been seen as a challenge in the past since Canadians tend to spend significantly less than international visitors. However, relying less on U.S. and international visitors was advantageous during the pandemic, as these markets suffered the greatest setbacks. Manitobans also played a significant role in reducing the pandemic’s impact, by exploring the province more than ever before. As a result, Manitoba performed better than Prince Edward Island, Nova Scotia, New Brunswick, Québec, Ontario and British Columbia as well as the Canadian average during the first year of the pandemic.
Visitor Spending Losses in 2020 Versus 2019 by Province 0% -10% -20% -30% -40% -50% -60%
-54%
-46%
-70% -80%
-54%
-53%
NS
NB
-50%
-49%
-44%
-45%
MB
SK
AB
-59%
-56%
-72% Canada
NFL
PEI
PQ
ON
*Red line represents the Canadian average. Source: 2019 and 2020 National Travel Survey and Visitor Travel Survey, Statistics Canada
14 • Manitoba Tourism Strategy
BC
QAUMAJUQ Credit: JP Media Works
Government interventions such as travel restrictions and public health orders had a direct impact on businesses, particularly those in the tourism sector. Many businesses were forced to reduce their hours, close temporarily or, in some cases, close permanently, which led to job losses. According to Statistics Canada, tourism jobs fell by 28.7 per cent in Canada in 2020 with food and beverage services (-32.3 per cent) and accommodation (-35.2 per cent) contributing most to the overall decline. Manitoba’s hospitality sector employment was down 13 per cent between 2019 and 2021, less than the Canadian average of 20 per cent. While total employment in Manitoba and in Canada now exceeds pre-pandemic levels, employment in the hospitality sector remains below pre-pandemic levels.
Hospitality* Job Losses in Canada (2021 vs. 2019) -13%
Manitoba Alberta
-14%
British Columbia
-14% -18%
Saskatchewan
-19%
Ontario
-20%
Canada Quebec -35%
-30% -30%
-25%
-20%
-15%
-10%
-5%
0%
*Accommodation and food services Source: Statistics Canada; Tourism Economics
Manitoba Tourism Strategy • 15
THE LEAF Credit: Assiniboine Park Conservancy
16 • Manitoba Tourism Strategy
VISITOR PROFILE 2022 Reports for 2022 show Manitoba welcomed 8.7 million visitors who spent just over $1.8 billion throughout the province. Visitor spending was higher than anticipated for 2022 and above 2019 levels due to inflation and the continued recovery of the visitor economy. Overall, visitation remained below 2019 levels. U.S. and overseas visitor spending was also down compared to 2019. The majority of visitors (87 per cent) were Manitobans in 2022, while 10 per cent were from other Canadian provinces. Only 2.4 per cent of visitors were from the U.S. and 0.45 per cent were from overseas. A silver lining of the pandemic is an increase in Manitobans’ desire to travel within their home province. An April 2023 Probe Research survey showed that 48 per cent of Manitobans were interested in traveling within Manitoba, which is up from 23 per cent pre-pandemic. While increased visitor spending levels for 2022 are certainly a positive sign of recovery, operators are also facing higher business costs, labour challenges and increased competition. Diversifying market segments will remain critical to ensuring future resiliency of Manitoba’s visitor economy by further developing and enhancing its tourism and business event offerings. Visitors from the U.S. spend on average more than four times what a Manitoban visitor spends per person per visit, while overseas visitors spend over 20 times more per person per visit. Manitoba will need to focus on attracting more visitors from long-haul markets who tend to spend more. Elevating the diversity of experiences available throughout the province will enable each region to make greater contributions that generate increased visitation and visitor spending in Manitoba.
Visitor Spending and Visitation in 2022 Manitoba $1,147.5 million 7,591,000 person visits $151 per person visit Other Canadian Provinces $467.3 million 864,000 person visits $541 per person visit
26%
64%
6% 4%
Total Visitor Spending $1,804,244,000
United States $108.9 million 212,000 person visits $513 per person visit Overseas $80.6 million 39,000 person visits $2,065 per person visit
9.9%
87.2%
2.4%
0.45%
Total Visitation 8,706,000
Source: Statistics Canada – National Travel Survey (NTS) – 2022. Statistics Canada Visitor Travel Survey (VTS) Small Area Estimation (SAE) - 2022.
Manitoba Tourism Strategy • 17
HOTEL RECOVERY Manitoba hotels were devastated in the early days of the pandemic. Early forecasts estimated that room revenue would not fully recover to 2019 levels until 2025. Fortunately, Manitoba hotels are showing promising signs of recovery. Manitoba’s hotel occupancy levels are ahead of the Canadian average and Manitoba hotel revenues and occupancy are now exceeding 2019 levels. While leisure travel and the continual recovery of business travel have certainly contributed to this strong recovery, a portion is also attributed to housing challenges faced by people displaced by flood and fire, newcomers and construction/ mining crews as well as inflationary pressures.
Manitoba Hotel Occupancy Levels 2019-2023 80%
60%
40%
20%
0%
Apr
May
Jun
Jul
Aug
2022-23
Sep
Oct
Nov
2020-21
2021-22
Dec
Jan
Feb
Mar
Feb
Mar
2019-20
Source: STR
Manitoba Hotel Revenue from 2019-2023 $60,000,000 $50,000,000 $40,000,000 $30,000,000 $20,000,000 $10,000,000 $0
Apr
May
Jun
Jul
2022-23 Source: STR
18 • Manitoba Tourism Strategy
Aug
Sep
2021-22
Oct
Nov 2020-21
Dec
Jan 2019-20
INCREASED TRAFFIC AT LAND BORDERS SINCE REOPENING The Canadian border reopened to fully vaccinated travellers in August 2021. The number of U.S. residents entering Canada through Manitoba land borders has slowly begun to increase, although entries continue to be significantly below 2019 levels. All testing, quarantine and isolation requirements for anyone entering Canada were lifted on October 1, 2022. In the last quarter of 2022-23, the number of U.S. residents entering at Manitoba land borders was 75 per cent of 2019 levels.
U.S. Residents Entering Manitoba at Land Borders 45000 40000 35000 30000 25000 20000 15000 10000 5000 0
Apr
May
Jun
Jul 2019-20
Aug
Sep 2020-21
Oct
Nov 2021-22
Dec
Jan
Feb
Mar
2022-23
Source: Statistics Canada
Manitoba Tourism Strategy • 19
AIR ACCESS REMAINS AN ISSUE According to the Winnipeg Airports Authority, just over three million people flew in and out of Winnipeg’s James Armstrong Richardson International Airport in 2022, more than double the number in 2021. However, the recovery is largely driven by domestic travel. The number of domestic travellers through the airport was 73 per cent of 2019 numbers, while transborder and international travellers lagged significantly behind at only 35 per cent of 2019 levels. This issue is largely driven by significantly reduced direct air access compared to pre-pandemic levels. The number of direct flights, particularly from international and U.S. markets, are still well below pre-pandemic levels and impacts the number of visitors coming into Manitoba directly by air.
20 • Manitoba Tourism Strategy
FALCON BEACH RANCH Credit: Liz Tran Photography
DIRECT AIR ACCESS Direct Air Access to Manitoba (number of direct seats, 000s) 12,000
350
10,000
300 250
8,000
200
6,000
150
4,000
100
2,000
50 Jan Mar May Jul Sep Nov Jan Mar May Jul Sep Nov Jan Mar May Jul Sep Nov Jan Mar May Jul Sep Nov Jan Mar May 19 19 19 19 19 19 20 20 20 20 20 20 21 21 21 21 21 21 22 22 22 22 22 22 23 23 23
Canada (left)
Manitoba (right)
Source: Conference Board of Canada (2023)
Travellers from the U.S. Entering Canada at Winnipeg Airport
Travellers from Overseas Entering Canada at Winnipeg Airport
10000
2500
8000
2000
6000
1500
4000
1000
2000
500
0
Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar 2019-20
2020-21
2021-22
2022-23
0
Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar 2019-20
2020-21
2021-22
2022-23
Source: Statistics Canada
Manitoba Tourism Strategy • 21
CANADIAN MUSEUM FOR HUMAN RIGHTS Credit: Erick Stoen, Travel Babbo
22 • Manitoba Tourism Strategy
Manitoba Tourism Strategy • 23
FORECASTING RECOVERY Travel Manitoba partnered with Tourism Economics, an Oxford Economics Company, to forecast visitation and visitor spending for Manitoba’s tourism economy to 2030. Baseline, upside and downside forecasts were developed for travel to and within the province. The baseline scenario points to a return to 2019 visitation levels by 2024, while international visitation is not expected to recover until 2026. Under the downside scenario, visitation could return to 2019 levels for domestic visitors by 2026 and by 2027 for international visitors to Manitoba. Forecasted Visitor Arrivals to Manitoba in Three Scenarios (Visitors in 000s) 2019 (F)
2020 (F)
2021 (F)
2022 (F)
2023
2024
2025
2026
2027
2028
2029
2030
2019-2030 growth %
Domestic
9,974
6,721
7,133
8,455
9,766
10,625
11,274
11,655
12,057
12,479
12,927
13,383
34%
International
572
113
84
251
436
533
616
656
691
721
741
770
35%
Total
10,546
6,834
7,217
8,706
10,202
11,157
11,890
12,311
12,748
13,200
13,668
14,153
34%
Domestic
9,974
6,721
7,133
8,455
9,723
10,299
10,989
11,355
11,743
12,154
12,588
13,031
31%
International
572
113
84
251
390
492
568
611
647
676
697
726
27%
Total
10,546
6,834
7,217
8,706
10,113
10,791
11,556
11,966
12,391
12,830
13,285
13,756
30%
Domestic
9,974
6,721
7,133
8,455
9,452
8,962
9,693
10,016
10,358
10,720
11,103
11,494
15%
International
572
113
84
251
379
428
501
539
571
597
615
640
12%
Total
10,546
6,834
7,217
8,706
9,831
9,390
10,194
10,555
10,929
11,317
11,718
12,134
15%
Upside Scenario
Baseline Scenario
Downside Scenario
F = Final data Source: Statistics Canada August 2023, Tourism Economics June 2023
Overall visitor spending in 2022 in Manitoba exceeded 2019 levels according to Statistics Canada’s data. However, international visitor spending is not expected to return to 2019 levels until 2024 under the baseline and downside scenarios developed by Tourism Economics. Under the upside scenario, international visitor spending could return to 2019 levels in 2023.
24 • Manitoba Tourism Strategy
Forecasted Visitor Spending in Manitoba in Three Scenarios ($CAD, millions, nominal) 2019 (F)
2020 (F)
2021 (F)
2022 (F)
2023
2024
2025
2026
2027
2028
2029
2030
2019-2030 growth %
Domestic
$1,334
$798
$921
$1,614
$1,871
$2,040
$2,170
$2,249
$2,331
$2,418
$2,510
$2,605
95%
International
$308
$42
$63
$189
$330
$404
$468
$500
$528
$552
$569
$592
92%
Total
$1,642
$841
$984
$1,804
$2,121
$2,325
$2,484
$2,577
$2,675
$2,776
$2,880
$2,989
82%
Domestic
$1,334
$798
$921
$1,614
$1,863
$1,978
$2,115
$2,191
$2,271
$2,355
$2,444
$2,536
90%
International
$308
$42
$63
$189
$295
$373
$432
$466
$494
$518
$535
$558
81%
Total
$1,642
$841
$984
$1,804
$2,102
$2,249
$2,414
$2,505
$2,600
$2,698
$2,800
$2,905
77%
Domestic
$1,334
$798
$921
$1,614
$1,811
$1,721
$1,866
$1,932
$2,003
$2,077
$2,156
$2,237
68%
International
$308
$42
$63
$189
$287
$325
$381
$411
$436
$457
$472
$492
60%
Total
$1,642
$841
$984
$1,804
$2,044
$1,957
$2,129
$2,210
$2,293
$2,380
$2,469
$2,562
56%
Upside Scenario
Baseline Scenario
Downside Scenario
F = Final data Source: Statistics Canada August 2023, Tourism Economics June 2023
POTENTIAL HURDLES TO RECOVERY Despite the upgrade to the recovery forecast, Tourism Economics has identified several potential hurdles that could hinder recovery. 1. Recession • A potential recession for Canada and other markets is a threat for 2023. 2. Labour • Total employment now exceeds pre-pandemic levels, however hospitality is lagging behind. Manitoba’s hospitality employment levels were 12 per cent below 2019 levels in Q1 2023 and lower than the rest of Canada. Some tourism sectors still struggle to attract quality labour. 3. Inflation • Inflation is expected to ease in 2023 due to falling global energy prices, lower housing prices and weaker demand. 4. Spending • Consumer spending is likely to slow as household budgets are impacted by higher interest rates and lower disposable income.
Manitoba Tourism Strategy • 25
INDUSTRY TRENDS Destination Canada commissioned Resonance Consultancy to conduct an extensive environmental scan to identify trends likely to have the greatest impact on the travel and tourism industry in Canada over the next one to three years*. These sections provide a summary of the findings. * Resonance Consultancy. (2021). Tourism’s Big Shift: Key Trends Shaping the Future of Canada’s Tourism Industry Destination Canada, November 2021
26• •Manitoba Manitoba Tourism Strategy 26 Tourism Strategy
BROKENHEAD INTERPRETIVE TRAIL Credit: laurenhamilt0n
Manitoba Tourism Strategy Manitoba Tourism Strategy • •27 27
MACRO TRENDS The pandemic has resulted in accelerated and profound socioeconomic changes that have and will continue to affect businesses and communities of all kinds. At the same time the effects of long-term issues, such as climate change, are becoming more apparent. At a macro level, five key drivers will affect travel and tourism in Manitoba in both the short and long term. 1. COVID-19 uncertainty • New travel rules, new variants and competition for the available traveller are all factors contributing to uncertainty in demand. 2. Economic change • Increased household savings have led to increased spending on travel across multiple income tiers. At the same time, costs are rising. While this provides an opportunity for operators to reach new customer groups, it also means enhanced cost management and planning are needed for businesses to remain viable. 3. Social change • The growing awareness of topics like social justice, reconciliation and Indigenous inclusiveness are providing opportunities to further diversify the industry and accelerate the development of Indigenous tourism experiences. A large Indigenous population provides Manitoba with an opportunity to address this demand and further reconciliation. 4. Climate change • Corporate travel will be impacted by commitments to reduce emissions through travel reduction. Extreme weather events will reduce travellers’ sense of security and increase insurance premiums for operators in high-risk areas. Manitoba’s tourism sector will need to have plans in place to address the potential risks associated with climate change. 5. Accelerated digitization • COVID-19 accelerated the adoption of digitization in the tourism industry by three to four years. Advanced technologies create opportunities to capitalize on more consumer data around pricing, marketing and product development. However, businesses that are unable to adapt to changing expectations or are located in areas where access to cellular and Wi-Fi coverage is limited may be at a potential disadvantage.
28 • Manitoba Tourism Strategy
KEY INDUSTRY TRENDS The following trends and their implications are drawn from assessments of interviews conducted with both inbound and outbound tourism stakeholders. 1. Lack of access and reduced transport connectivity • A fundamental change in airline economics has taken place resulting in decreased or changing demand, labour shortages and delayed aircraft orders. The rental car industry reduced its fleet size due to decreased demand early in the pandemic and supply chain disruptions are preventing fleets from rebuilding quickly. Manitoba continues to be impacted by the loss of direct routes. 2. Labour and skill shortage • Tourism labour challenges existed pre-pandemic in certain specialized skill areas and have escalated in the past several years. Many workers have moved on to other industries. Retaining, retraining and attracting labour continues to be a challenge for the tourism sector in Manitoba. 3. Higher costs • Rising travel costs are fueled by pent-up demand, reduced supply and capacity, inflation and supply chain issues. Prices for airlines, hotel stays, food and car rentals have all been rising as part of a larger inflationary trend. 4. Reduced business travel and events • Leisure travel is leading the way to short-term recovery while corporate travel will be slower to return. Increased digitization, the move toward hybrid meetings and the adoption of video conferencing during the pandemic have reshaped corporate events and business travel. How much corporate travel will return is still unknown. 5. Product degradation • Many providers have drastically scaled back operations and services, downgrading the quality of the experience and creating travel friction and frustration for travellers. Labour shortages are also impacting product quality which could gradually diminish the reputation of a business or destination. 6. Reduced access to capital and limited liquidity • Tourism has always faced challenges like rising debt and equity to expand. Liquidity has been extremely challenging for tourism businesses with limited revenues throughout the pandemic.
RIDING MOUNTAIN NATIONAL PARK Credit: Enviro Foto
Manitoba Tourism Strategy • 29
OAK HAMMOCK MARSH INTERPRETIVE CENTRE Credit: May Contain Studios
30 • Manitoba Tourism Strategy
KEY MARKET TRENDS Around the world, the tourism sector is undergoing a transformation as consumer behaviours and values shift. What visitors value — and where they spend their time and money — is changing in response to the lasting impact of the pandemic. Destinations and businesses that explore and understand these shifts can act now to adapt operational models, improve product and service development, channel marketing budgets and prepare for what’s next. 1. Frictionless travel • The digitalization of the industry is placing more emphasis on customer experiences and putting travellers’ needs front and centre. Technology is moving the travel industry to a place where seamless travel experiences with limited and even no pain points are a reality. 2. Domestic travel • Domestic travel will focus on connecting with family and friends. Drive-to destinations and road trip itineraries will be opportunities since many are still reluctant to stray far from home due to more limited flight options and increased travel costs. 3. Responsible travel • The pandemic has enhanced the desire to connect in meaningful ways with places visited. The focus is on travelling less often, but with longer and deeper connections. 4. Ascendance of communities • There is a shift in focus towards the wellbeing and safety of local communities. This includes a proactive approach to harnessing the benefits of tourism while minimizing its pressures so that improving quality of life can be the overall focus. This requires greater industry, community and government alignment to drive destination competitiveness and brand development. 5. Indigenous connection • Canadian and international travellers are interested in Indigenous tourism experiences. This provides a tremendous opportunity for Indigenous communities and entrepreneurs in Manitoba to develop land based and cultural activities that will support economic development and reconciliation goals. 6. Wild for wilderness • There is increased interest in engaging with nature. This presents an opportunity for Manitoba to showcase its natural assets. 7. Health and wellbeing • The pandemic accelerated the growth of wellbeing and personal enrichment. People are hungry for a sense of wellbeing associated with travel, escape, rejuvenation and nature-based healthfulness. 8. Affluent travel boom • Affluent travellers are driving demand for legendary experiences. Development of unique highquality tourism attractions in cities and wilderness is needed. 9. Great resignation and retirement • Post-pandemic, more people are rethinking their work-life balance than ever before. Younger and older generations have been quitting situations they find unsatisfactory and seeking new employment in companies that better support their employees. The pace of boomer retirements accelerated in 2020. By 2025, people aged 65 and older will account for 11 per cent of the world’s population and their international travel will more than double. With time and money for travel, this segment remains a key audience for travel operators to consider.
Manitoba Tourism Strategy • 31
ASSINIBOINE PARK Credit: JP Media Works
VISION Manitoba is a must-visit four season destination generating sustainable economic growth by delivering inspiring and authentic experiences in its unique urban, rural and wild settings.
32 • Manitoba Tourism Strategy
TARGETS The target is to rebuild the visitor economy to 2019 levels by 2024 and generate sustainable long-term growth for Manitoba with a target of $2.5 billion in annual spending generated by 12.8 million visitors in 2030. This equates to 50 per cent growth in visitor spending levels in 2030 when compared to 2019.
TARGET: GROW VISITOR SPENDING 50% BY 2030 2019
2030
10.6
12.8
million visitors
million visitors
M
OR
S
N
U
BE
R O F VISIT
$1.6
$2.5
billion spending
billion spending
VI
SIT
O R S P E N DI
NG
Manitoba Tourism Strategy • 33
GOALS AND INITIATIVES A series of goals and initiatives were designed for the Manitoba Tourism Strategy to support the delivery of Manitoba’s future vision. These goals and initiatives continue to provide a focused framework of tangible actions and desired outcomes for stakeholders to collaborate on and embrace together. Through the steering committee’s annual review process, the Manitoba Tourism Strategy goals have been validated. The strategic goals moving forward are: 1. Lead Brand & Market Positioning 2. Advance Destination Management 3. Foster Collaboration & Build Support for Tourism Each goal has a corresponding set of specific initiatives that has been created to directly address gaps or leverage key opportunities in all goal categories.
34 • Manitoba Tourism Strategy
CHURCHILL Credit: @jdubcaptures
Manitoba Tourism Strategy • 35
01
LEAD BRAND & MARKET POSITIONING Travel Manitoba’s refreshed brand — Canada’s Heart is Calling — builds on the success of the previous brand which redefined Manitoba in the eyes of visitors around the world. The evolution of the brand is a call to action that provides an opportunity to build on the emotional connection that creates a truly immersive visitor experience and increases market awareness in more competitive travel markets. The new brand will support growth in market awareness and visitation by highlighting Manitoba’s key destination differentiators such as Indigenous, Francophone and other cultural experiences, as well as Manitoba’s exceptional outdoor recreation, hunting and fishing, and winter tourism offerings.
36 • Manitoba Tourism Strategy
CHURCHILL Credit: Stephanie Woltman Photography
Manitoba Tourism Strategy • 37
LEAD BRAND & MARKET POSITIONING The Manitoba Tourism Strategy will continue to focus on supporting the successful province-wide community place branding program and creating alignment between the program and the province's tourism brand. Significant progress has been made on several important brand and marketing initiatives identified in the 2021 strategy: • Refreshed Manitoba’s tourism brand and Travel Manitoba’s corporate identity. • Rebuilt and relaunched the Master Angler App. • Launched the Manitoba Explorer App, a gamified approach to encourage residents and visitors to explore the province. • Launched successful marketing campaigns, including Summer Road Trips, Winter Explorer Guide, and Northern Lights. • Collaborated with the Manitoba Chambers of Commerce in the successful Tourism Rebate Incentive Program. • Expanded the place brand program to include Dauphin and Winnipeg, bringing the total number of place brands to 13. • Hosted major conferences in 2023: the International Winter Cities Conference in February, and the International Indigenous Tourism Conference in March in partnership with the Indigenous Tourism Association of Canada.
38 • Manitoba Tourism Strategy
ST. VITAL PARK Credit: JP Media Works
LEAD BR AND & MARKET POSITIONING
KEY INITIATIVES & IMPLEMENTATION INITIATIVES
TIMING S
M
LEAD L
Implement a refreshed brand to lead national and international marketing initiatives under a common voice.
Travel Manitoba
Support ongoing place branding initiatives throughout the province to elevate profile and market position, and to strengthen and align with the provincial tourism brand.
Travel Manitoba
Stimulate recovery and showcase Manitoba’s: • Indigenous, Francophone and other cultural experiences. • Unique and vibrant four seasons, including Canada’s home of world-class winter experiences. • Exceptional water-based experiences such as fishing and paddling. • Showcase diversity of wilderness and wildlife experiences, including support for Churchill as a leading international destination.
Travel Manitoba
Support Winnipeg and Brandon as Manitoba’s leading destinations for national meetings, conventions, festivals and events.
Travel Manitoba
Engage new Canadians and newcomers as potential travellers and ambassadors to their country of origin.
Travel Manitoba
Leverage marketing support from Destination Canada.
Travel Manitoba
*Note: S- Short Term (< 1 year); M-Medium Term (1-3 years); L- Long Term (> 3 years)
KEY PERFORMANCE INDICATORS • • • • •
Consumer recognition of refreshed brand Reach and engagement of marketing initiatives Number of convention, meeting and event bids secured Development and execution of engagement strategy targeting newcomers Number of marketing initiatives completed in partnership with Destination Canada
Manitoba Tourism Strategy • 39
Credit: Bill Bennett
40 • Manitoba Tourism Strategy
02
ADVANCE DESTINATION MANAGEMENT Destination management is the coordination of all aspects of a destination that contribute to a visitor’s experience, including the perspectives of visitors, the tourism industry (attractions, accommodations, visitor services), businesses, local residents and governments. It focuses on the supply side. Destination management includes both destination development and product development. Destination management is important because it increases the competitiveness and resiliency of the industry by addressing barriers to industry growth and supporting the development of strategic opportunities. It also encourages the industry to adapt to changing traveller expectations and trends. Ultimately it leads to the development of differentiating assets that will appeal to out-of-province and international travellers, contributing to increased visitation and visitor spending. Destination management can also improve the quality of life for Manitobans by advancing infrastructure improvements, the development of new attractions and improvement of facilities that otherwise could not be achieved. Overall, destination management benefits the economy as a whole. It will be critical to continue to develop Manitoba’s signature experiences and encourage operators to adapt to meet challenges and opportunities. Key differentiators include winter, Indigenous, Francophone, trails, northern and human rights experiences. These types of demand-generating experiences amplify a deep sense of place and destination DNA that enables the province to further grow its distinctive presence in the marketplace.
Manitoba Tourism Strategy • 41
ADVANCE DESTINATION MANAGEMENT Significant progress has been made on several important destination management initiatives identified in the 2021 strategy: • Provided over $1 million in project funding to support the development and enhancement of 50 market- and export-ready tourism products across the province through the Tourism Innovation and Recovery Fund. • Secured $2 million in funding through the federal Tourism Relief Fund to create new and expand existing tourism experiences. • Advanced the Prairie Tourism Partnership with Travel Alberta and Tourism Saskatchewan with the goal of supporting overall community economic development in the Prairie Provinces. • Engaged Probe Research, Twenty31 Consulting and Barnes Sinclair Ltd. to complete a gap analysis and destination area assessments for key destinations to identify opportunities for transformational growth and recommendations for experiences and assets that will increase visitor spending. • Updated key strategies to support the target of returning to 2019 visitor spending levels by 2024. • In partnership with Manitoba Parks, Travel Manitoba retained MNP and a team of specialists to explore the potential for enhanced tourism in Manitoba Parks. • Supported direct air access initiatives including the introduction of WestJet’s non-stop flight between Winnipeg and Los Angeles. • Collaborated with Manitoba Natural Resources and Northern Development and the Manitoba Lodges and Outfitters Association to allow commercial opportunities for overnight ice fishing trips on Lake Winnipeg for winter 2023 with an aim to expand the program in 2024.
WHITESHELL Credit: May Contain Studio
42 • Manitoba Tourism Strategy
ADVANCE DESTINATION MANAGEMENT
KEY INITIATIVES & IMPLEMENTATION INITIATIVES
TIMING S
M
LEAD L
Develop a destination management plan to: • Create a stronger enabling environment for tourism growth. • Build industry capacity. • Support the development and enhancement of experiences. • Strengthen community and regional development.
Travel Manitoba
Develop a province-wide events strategy and secure an agile funding mechanism to support major bids.
Travel Manitoba
Advance development of place brand communities by supporting the implementation of Destination Area Assessment recommendations.
Travel Manitoba
Increase the number of market- and export-ready tourism businesses in Manitoba, with consideration of the following world-class demand generating experiences: trails, the North, winter, Indigenous, Francophone, human rights and reconciliation initiatives.
Travel Manitoba
Ensure the tourism industry has access to business advice and training on intelligence, best practices, business case formulation, market readiness, business development and funding sources.
Travel Manitoba & Manitoba Tourism Education Council
Collaborate with governments and industry to address infrastructure, access, wayfinding, regulatory and policy barriers.
Travel Manitoba
Lead strategic initiatives that address development opportunities to: • Encourage the industry to adopt sustainable business practices. • Advance initiatives that improve the visitor experience in provincial and national parks.
Travel Manitoba
*Note: S- Short Term (< 1 year); M-Medium Term (1-3 years); L- Long Term (> 3 years)
KEY PERFORMANCE INDICATORS • • • • • • •
Completion of Destination Development Plan Development of province-wide event strategy and funding mechanism Number of Destination Area Assessment recommendations progressed Development of web-based business development resource portal Number of market-ready tourism businesses Number of barriers communicated or reduced Number of initiatives to address strategic opportunities
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03
FOSTER COLLABORATION & BUILD SUPPORT FOR TOURISM One of the positive outcomes of the COVID-19 pandemic is that Manitobans developed a new understanding of what tourism means to their communities and its potential for growth. Responding to the challenges of the pandemic created a new way of thinking about how stakeholder organizations should interact and partner on initiatives to realize the collective opportunity. Success depends on working together toward a common goal. To rebuild and grow the Manitoba visitor economy, it is incumbent on all levels of government, industry representatives and other stakeholders to continue to foster collaboration and innovation and move forward together. As tourism is such a key economic driver for the province, a wholeof-government approach is necessary for the industry to remain competitive, maximize visitor experience and achieve long-term sustainable growth. All government departments and agencies must have a common collaborative approach with the tourism sector to enable critical province-wide destination improvements, such as roads, wayfinding and digital connectivity, as well as park amenities, services and season extensions. Businesses, universities, colleges, community organizations and institutions also need to be rallied to become strong ambassadors of the destination, continuing to promote the province to colleagues and organizations nationally and internationally. The strategy needs to be aggressively promoted across Manitoba to ensure broad understanding of the power and positivity of tourism, cement maximum support and buy-in, and mobilize Manitobans to become true destination champions. To foster collaboration and build support for tourism also means creating a more diverse and inclusive tourism industry.
44 • Manitoba Tourism Strategy
FOSTER COLLABORATION AND BUILD SUPPORT FOR TOURISM INITIATIVES Significant progress has been made on several important collaboration and support for tourism initiatives identified in the 2021 strategy: • Hosted the Manitoba Tourism Conference in partnership with Tourism Winnipeg in September 2022. • Exceeded partnership revenue target of $750,000 for 2022-23. • Hosted a virtual “Diversity and Inclusion Matters: Fostering Understanding in Manitoba’s Tourism Industry” conference, attended by over 200 industry representatives. • Undertook an extensive asset development project, both in video and photography, that engaged BIPOC-owned and/or operated businesses to collect new marketing assets that reflect the diversity of our communities. • Hosted Destination Canada’s travel trade strategic planning session in Winnipeg and Churchill in October 2022. • Collaborated with Manitoba Natural Resources and Northern Development on changes to the Waterfowl Hunting Modernization Project to promote sustainable tourism and provide stability for the waterfowl outfitting industry. • Participated in consultations for the proposed Manitoba Recreational Angling Strategy regulation changes. • Developed and launched a campaign to address the labour force shortage in the tourism industry, in conjunction with the Manitoba Tourism Education Council, Manitoba Hotel Association, the Manitoba Restaurant & Foodservices Association and Tourism HR Canada. • Developed and launched a campaign in partnership with educational institutions around the province to drive increased enrollment in tourism-related programs. • Recommended changes to Manitoba’s tax regulations to include charging PST on Airbnb rentals to level the playing field for traditional accommodation providers.
CHURCHILL
Manitoba Tourism Strategy • 45
FOSTER COLL ABOR ATION & BUILD SUPPORT FOR TOURISM
KEY INITIATIVES & IMPLEMENTATION INITIATIVES
TIMING S
M
LEAD L
Ensure a whole-of-government approach to tourism as a key economic sector and maximize alignment between all provincial government departments and agencies impacting tourism.
Manitoba Sports, Culture and Heritage
Collaborate with Tourism Winnipeg on research, branding, marketing and experience development.
Travel Manitoba & Tourism Winnipeg
Advance a new approach to improve the delivery of regional tourism initiatives.
Travel Manitoba
Leverage Destination Canada to drive future opportunities in Manitoba.
Travel Manitoba
Prioritize diversity and inclusivity in tourism development and promotion.
Travel Manitoba
Collaborate with the Tourism Industry Association of Manitoba to drive a whole-of-industry approach to tourism.
Travel Manitoba & Tourism Industry Association of Manitoba
Create a public awareness campaign on the provincewide value of tourism including job creation and retention, residential tax savings, innovation and education, infrastructure improvements and quality of life. Build awareness of tourism as a key employer and dynamic career.
Travel Manitoba & Manitoba Tourism Education Council Travel Manitoba & Manitoba Tourism Education Council
*Note: S- Short Term (< 1 year); M-Medium Term (1-3 years); L- Long Term (> 3 years)
KEY PERFORMANCE INDICATORS • Number of collaborative initiatives with key government departments and industry stakeholders, including Tourism Winnipeg and Destination Canada • Implement new approach for delivering regional tourism • Number of diversity initiatives • Development and launch of a public awareness campaign on the value of tourism • Awareness of tourism as an economic driver • Awareness of tourism as a key employer and dynamic career 46 • Manitoba Tourism Strategy
HUNT LAKE HIKING TRAIL Credit: Garth Merkeley
Manitoba Tourism Strategy • 47
GULL HARBOUR Credit: Handcraft
NEXT STEPS AND PERFORMANCE MEASUREMENT “The tourism industry has shown its resiliency over the past three years and it is now ready to recover and rebuild. Delivering on the initiatives in the Manitoba Tourism Strategy is key to achieving long-term growth in the tourism sector and the sector becoming an even greater economic driver than it was before the pandemic.”
Chuck Davidson President & CEO, Manitoba Chambers of Commerce
48 • Manitoba Tourism Strategy
MANITOBA TOURISM STRATEGY REPORTING PROCESS The role of the steering committee is to support the efforts of its partners — Travel Manitoba, Manitoba Chambers of Commerce, and the Government of Manitoba — in successful implementation of the strategy by providing input into strategy renewal and reporting. Strategy partners will consider expanding steering committee membership to better reflect the tourism industry from a sector and diversity perspective. The Manitoba Tourism Strategy will continue to be supported by a measurement and monitoring system to ensure its enduring relevance and success over time. Each partner will review the strategy annually, with updates or changes made as needed. A progress report will be developed annually and shared with industry and government stakeholders and posted on Travel Manitoba’s website.
Manitoba Tourism Strategy • 49
FALCON BEACH RANCH Credit: Paul Epp
50 • Manitoba Tourism Strategy
Manitoba Tourism Strategy • 51
MANITO AHBEE FESTIVAL
52 • Manitoba Tourism Strategy
All photos are courtesy of Travel Manitoba
Manitoba Tourism Strategy • 53
travelmanitoba.com
mbchamber.mb.ca
gov.mb.ca